CompetitionMonopolistic position tariff regulation National regulatorFixed periodic feesUsage based fees (% gross revenues)Exclusivity period?Self-regulating contract Market forces (strong competition)multi-terminal operatorsAlleviate congestion in port area for storage / process customs procedures..>Country DistributionPPP Port Projects for ESCAP developing countriesSource: World Bank, PPI project Database18 ESCAP countries have used PPP for Port DevelopmentAround 250 PPP projects in the ESCAP Region since 1990Total investment value above $40 billionSlowdown post-financial crisisThe top 3 countries represent 2/3 of the investments madeTrends in the RegionKey CharacteristicsTo improve port efficiency (e.g. turnaround times of the ships, ease and accuracy of tracking)Introduction private operators To increase capacityThe flow of containers in ESCAP ports $ 23 bn/year investment required in Asia-Pacific (ADBI) Common allocation of responsibilitiesDry PortsA “Dry Port” provides all of the services of a port except for the loading of cargo to and from seagoing ships. It may be distinguished from an Inland Container Depot (ICD) in that it can accommodate all types of cargo, whereas an ICD specializes in the handling of containers and containerized cargo.Growing trade put pressure on existing infrastructureCritical for competitiveness80% of world’s trade by volume travel by shipssince 2000x3Shifting to a more efficient transport mode (e.g. rail)Saving storage costs (sea ports = congested areas)Realizing mandatory transshipment Rail break of gauges, truck change due to regulatory provisions, access restrictions to urban centers,… DefinitionValue-addedBenefiting from economies of scaleConsolidation of LCL cargoes, externalization of logistic functions (e.g. distribution, packaging, labeling or warehousing)ESCAP Intergovernmental Agreement on Dry Ports (2013)PPP as a development mechanism (efficiency is key)Similarities with port modelsConclusionPort and Dry Port are key for a country's competitivenessPublic partner has a key role to play (e.g. regulatory, providing connecting infrastructure)Private partner can bring improved efficiency